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Category: Total Addressable Market

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Buying Intent Data Champions Cold Calling Customer Churn Customer Success Demand Generation Lead Generation Relationship Signals Sales Leadership Sales Pipeline Sales Process Sales Technology Signal Intelligence Total Addressable Market

ZoomInfo: A Must-Have Tool for Sales & Demand Gen Teams

ZoomInfo A Must-Have Tool for Sales & Demand Gen Teams

ZoomInfo is the perfect solution for sales and marketing teams, offering extensive contact and company data with accuracy, automation tools for improved efficiency, and an AI-powered platform to increase lead conversions.

 

If you’re serious about growing your business, ZoomInfo is a must-have tool in your arsenal. With access to over 150 million business contacts and insights into decision-makers, executives, and influencers, ZoomInfo helps you identify new prospects and sales leads.

 

Create targeted campaigns for increased conversions and develop better relationships with your customers.

 

What is ZoomInfo?

 

ZoomInfo (formerly Discover Org) is a sales intelligence platform that helps businesses generate more revenue by quickly identifying sales leads and decision-makers. It helps to identify potential target accounts, access detailed contact information, build an understanding of companies and contacts, create targeted marketing campaigns, and more.

 

ZoomInfo stands out due to its exclusive database of 129 million verified email addresses and 50 million phone numbers. Not only this, but you can also sort through potential leads based on over 300 criteria, including former job positions and company size.

 

Furthermore, ZoomInfo’s AI-powered engine can help you quickly identify leads and prioritize them based on their engagement with your content and the likelihood of conversion. It also provides real-time data insights into the performance.

 

With detailed insights into customers’ behaviors and preferences, the platform enables you to deliver relevant content at the right time.

 

An overwhelming majority of companies consider ZoomInfo their go-to source when searching for business leads due to its immense capabilities, such as accessing employee emails and contact numbers, including both work and personal phone lines. 

 

It is crucial for Sales Development Representatives (SDRs) responsible for sales prospecting to have access to mobile numbers to contact workers who may be located remotely.

 

Who Is ZoomInfo For?

 

ZoomInfo is the perfect choice for sales and marketing teams that conduct outbound sales. Boasting high-quality contact data, ZoomInfo will ensure your team can close deals more efficiently and effectively. 

 

However, your deal size must be substantial to ensure it’s worth the cost of a subscription. In addition to having a steady stream of prospects, you can confidently turn them into paying customers. 

 

As such, small startups should first have an understanding of their target customer base and confidence in closing cold calls before exploring this option.

 

How Does ZoomInfo Get My Information?

 

How Does ZoomInfo Get My Information

 

ZoomInfo creates comprehensive “Public Profiles” of businesses and individuals by consolidating business data from various sources. These Public Profiles are then made public to users, customers, and other concerned parties through a directory.

 

There are several ways ZoomInfo collects the data for its Public Profiles, such as:

 

Extensive Network of Contributors

 

ZoomInfo draws on an extensive network of contributors to authenticate existing and recent data and add contacts. The community members utilize proprietary machine learning technology to trace the signature lines of emails sent and received from their inboxes. 

 

According to ZoomInfo, its contributors verify 20 million emails monthly and collect data on four million people and one million companies daily.

 

Human Research and Verification

 

In addition to machine learning, ZoomInfo relies on a dedicated team of human professionals to optimize its database. ZoomInfo’s data training lab is staffed with 300 human researchers, consistently gathering an impressive 100 million contact records daily and keeping tabs on 45 million web domains. 

 

This group continuously verifies the results from the company’s algorithms, collects contact information, and discovers internal information about businesses like funding events – which can be valuable for sales teams when prospecting.

 

Third-Party Partners

 

ZoomInfo collects data from trusted, third-party sources to enrich the profiles of individuals and businesses. These sources may include public companies, government data sources, social media feeds, and more.

 

ZoomInfo Product Categories

 

ZoomInfo’s solutions are broken down into four distinct categories:

 

Sales OS – The primary focus of this product lies in aiding sales teams with a convenient contact search that can be used for cold emails and calls. 

 

Marketing OS – This product is ideal for marketing teams due to its Company and Contact Search feature. This provides marketing teams with valuable lists that equip SDRs to execute their Account Based Marketing strategies effectively. 

 

Operations OS – Next, we have Operations OS, targeted at sales operations teams. Data enrichment is essential for an efficient CRM system containing accurate contact and company information. 

 

Talent OS – Without fresh talent, companies cannot meet targets, grow and remain competitive. ZoomInfo’s Talent OS helps HR and recruiting teams with hiring by providing valuable insights into potential candidates.

 

Is ZoomInfo better than LinkedIn Sales Navigator?

 

Is ZoomInfo better than LinkedIn Sales Navigator

 

ZoomInfo has much to offer compared to LinkedIn Sales Navigator; however, it is essential to understand your team’s needs before investing in either solution.

 

At its most basic level, LinkedIn Sales Navigator is an ideal tool for targeting clients you want or specific clients. At the same time, ZoomInfo excels at discovering key decision-makers who may not be in your sights already.

 

Sales Navigator is the go-to platform for acquiring precise contact information, including names, cities, and job titles. Meanwhile, ZoomInfo offers you more current data in larger categories such as company size, industry type, etc.

 

In addition, ZoomInfo also makes exporting contact lists for use with CRM and marketing automation platforms incredibly simple. ZoomInfo is also a great tool for sales professionals as it offers Contact and company data and Buyer intent data, which are key factors in the success of any sales team.

 

Furthermore, it has specialized features like sales automation (Engage), revenue intelligence (Chorus), and conversational sales (Chat) that are not available on Sales Navigator.

 

Final Words

 

ZoomInfo stands out among its competitors with its extensive contact and company data, the quality and accuracy of that data, the integration of various sales tools into a single platform, and its commitment to innovation in the field of sales intelligence. The data and automation capabilities provided by this tool will result in your team generating more leads, boosting conversion rates, and driving better results for the company.

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Buying Intent Data Champions Cold Calling Customer Churn Customer Success Demand Generation Lead Generation Relationship Signals Sales Leadership Sales Pipeline Sales Process Sales Technology Signal Intelligence Total Addressable Market

Why Demand Generation Matters In Marketing

Why Demand Generation Matters In Marketing

One of the major challenges for companies today is demand generation or interest for their products and services. The market is saturated with brands offering all kinds of products, so it’s essential to have an effective way to stand out and get noticed.

 

But don’t get confused by demand generation with lead generation. And, yes, demand generation isn’t also about false advertising or tricking people into buying what you are selling.

 

Demand generation is the process of creating interest in your products and services. It’s a comprehensive set of marketing activities designed to drive awareness and interest, capture prospects’ attention, sustain their engagement, qualify them for sales conversations and nurture them through the buyer’s journey.

 

It provides marketers with data that helps identify customer needs and wants, allowing you to deliver better experiences for leads and customers. Demand generation strategies target existing customers looking for new services or updates and potential buyers who may be unfamiliar with your brand.

 

By taking a holistic approach to demand generation, organizations can attain their desired goals faster and more efficiently than ever before by focusing on the right audience at the right time with relevant messaging. With demand generation, companies can establish a steady stream of customers eager to buy and keep returning for more.  

 

Why Demand Generation Isn’t The Same As Lead Generation

 

Why Demand Generation Isn't The Same As Lead Generation

 

Despite their common usage, the terms “demand generation” and “lead generation” are not synonymous. Therefore, it’s imperative for B2B and B2C marketing pros to understand the difference between the two.

 

Lead generation is focused on capturing leads through email campaigns, social media posts, webinars, and more. Lead generation is gathering contact info from potential customers to add them to your list of prospective buyers.

 

On the other hand, demand generation goes beyond lead capture by focusing on creating interest in your product or service.  It requires engaging potential buyers with educational content, compelling visuals, and relevant offers to motivate them to consider your offering.

 

Demand generation aims to create a steady flow of qualified leads for your sales team by targeting the audiences most likely to become customers. This helps you convert prospects into actual customers ready and willing to purchase from you.

 

Demand generation strategies may include content marketing, search engine optimization (SEO), email campaigns, direct mail campaigns, lead nurturing initiatives, social media advertising, telemarketing activities, conferences/events, and webinars.

 

It also provides insights into customer behavior, preferences, and interests so that you can continuously improve and refine your offerings. In short, demand generation offers an effective way for companies to drive customer engagement long-term by creating meaningful connections with their target audiences.

 

The takeaway?

 

Demand generation is a much more comprehensive approach than lead generation. It’s not just about collecting a lead’s contact information—it’s about creating the desire to buy your product or use your service and guiding prospects on their journey from interest to purchase.

 

The Difference Between Demand Generation and Inbound Marketing

 

The Difference Between Demand Generation and Inbound Marketing

 

It’s fine if you can’t decipher the difference between demand generation and inbound marketing. Inbound marketing is similar to demand generation but takes a more customer-centric approach.

 

Inbound marketing is focused on creating custom experiences and engagement opportunities that help turn prospects into customers. This requires providing value throughout the buyer’s journey by offering content, resources, and other materials at each stage.

 

Inbound marketing can be a part of an overall demand generation strategy to provide valuable content such as blog posts, white papers, eBooks, webinars, and more. It can also be used with other tactics like email campaigns or social media advertising for maximum impact. Over time, a considerable percentage of this incoming traffic will convert into paying customers.

 

For example, if a company produces content that educates customers about their product or service, prospects will be more likely to purchase from them than competitors. This is because they have already developed a level of trust with the customer due to providing helpful and informative content.

 

The takeaway?

 

Inbound marketing and demand generation are similar because both strategies focus on creating interest and engaging potential leads throughout the customer journey. However, inbound marketing emphasizes delivering high-quality content to provide value at each stage of the buyer’s process.

 

By leveraging both demand generation and inbound marketing together, organizations can effectively drive customer engagement long-term while also increasing conversions along the way.

 

The Major Obstacle Between B2C And B2B Demand Generation

 

B2C companies require just the consent of an individual consumer to start the conversation. They focus on personalization and customer experience while taking advantage of digital channels like social media, video content, email campaigns, and more.

 

In contrast, creating a sustainable sales funnel for B2B companies is often arduous. B2B marketers must consider the many stakeholders involved in a purchase decision. This means they must tailor their demand generation efforts and messaging based on roles, job titles, and other criteria to ensure that specific individuals see their messages within target companies.

 

That’s why B2B businesses need to employ comprehensive tactics focusing on brand awareness and continued lead nurturing.

 

Why Content Marketing Is Essential For Demand Generation

 

Content marketing is a key part of any demand generation strategy. By creating content that educates and entertains your audience, you can build trust in your brand and establish yourself as an authority in the industry.

 

At its core, content marketing helps companies create relationships with customers without asking for anything in return. It provides valuable and relevant information to help customers make informed decisions about their purchase process. Additionally, it’s an effective way to stay top-of-mind with prospects even when they’re not actively looking to buy something from you.

 

Content marketing doesn’t have to be complicated or time-consuming; simple tactics like blogging regularly and writing informative emails can go a long way. It’s up to the company to decide what types of content will be most effective for them and their target audience, but in general, the more helpful and relevant information you can provide, the better.

 

We already mentioned the goal of demand generation isn’t about selling, but what if content marketing could also help you increase sales? The answer is yes—when done correctly, demand generation and content marketing work together to drive more conversions. By providing helpful and relevant information, customers are more likely to trust your brand, stay engaged with it, and eventually make a purchase.

 

What is B2B Demand Generation Content And Why Does it Matter?

 

Demand generation content is designed to engage and educate your audience. It should be customized to each customer or prospect’s unique needs and delivered at the right time along the buyer’s journey.

 

It can include everything from blog posts and white papers to video tutorials and webinars. The goal is to establish an ongoing dialogue with your customers that goes beyond just selling them a product or service. By providing valuable insight into their specific problems, you can help customers make more informed decisions about how best to solve their challenges.

 

Furthermore, demand generation content helps build trust in your brand by positioning it as an industry leader that knows how to solve customer problems through the products and services they offer. This helps create long-term relationships with your customers and helps build loyalty.

 

By investing in demand generation content, companies can reach new audiences, grow their customer base and generate more sales. It’s an essential component of any successful marketing strategy.

 

Why You Should Prioritize Creating Audiences For Demand Generation

 

No matter how stellar your product or service is, you won’t acquire the level of leads you desire if it’s not marketed to the proper people. Achieving successful marketing collateral begins with discerning who your target audience is and what motivates them to act.

 

Identifying and understanding your customers’ pain points is a vital initial step in defining who your target audience should be. Doing so lets you articulate how your business effectively solves their problems and delivers the best solutions.

 

To identify your target audience and those who don’t fit – create buyer personas or profiles.

 

A buyer persona is a semi-fictional representation of your ideal customer and fulfills the need for a more concrete definition of who you’re creating content for. It should include demographic information such as age, occupation, location, etc., along with psychographic data that explores what motivates them to act (or not).

 

This is an effective way to learn the challenges and needs of real people you’re attempting to reach. With this knowledge, it will be easier for you to curate content that appeals precisely to their requirements.

 

Creating High-Quality Content Will Generate Demand

 

High-quality content creation is the cornerstone of demand generation. Quality content that resonates with your target audience will help you establish trust and nurture relationships, leading to more conversions.

 

Your content should be tailored to specific customer needs and preferences. By understanding who your customers are, what their problems are, and how they prefer to consume information (blogs, videos, podcasts, etc.), you can create relevant content that meets their needs.

 

Ensure all your content is helpful and provides value — avoid anything too promotional or salesy. You want readers to feel like they’re getting something out of it; otherwise, why would they keep reading?

 

Publishing original content helps to distinguish your business from competitors and improve your SEO performance. To ensure that your search engine optimization efforts are effective and successful, stay clear of overly-saturated keyword use or replicating existing content.

 

Instead, uncover the unique angles about your company — think niche interests or brand values— then share them via compelling stories that accurately represent you in an unmistakably authentic voice.

 

Final Words

 

Demand generation is essential for building quality leads, generating sales, and creating lasting relationships with customers. By creating content that speaks to your target audience’s needs, you can build trust in your brand as an industry leader and help drive conversions.

 

Remember that understanding your customer’s wants and needs is paramount for crafting meaningful content. Additionally, providing value through helpful resources will help you stand out from the competition and provide a more successful demand generation strategy.

Categories
Account Monitoring Customer Churn Customer Success Sales Process Total Addressable Market

Trust Gap Within Vertical Markets: Why Your Business Should Care

Tust Gap Within Vertical Markets: Why Your Business Should Care

Most B2B trust studies focus on technology and solutions provided by the selling organization, but this doesn’t reveal what you need to know. Audiences don’t care what your product does. They care whether it will solve their problem effectively. The real B2B trust gap is between perceptions of your business and what you do.

How You Can Close the Trust Gap

More Transparency, Better Buyer Tools, Shorter Buying Timeline - Trust Gap

#1: More Transparency, Better Buyer Tools, Shorter Buying Timeline

Many companies are going all-in on B2B tools.

But the problem is that these tools are often too complicated to use and difficult to explain, which puts off potential buyers.

The bottom line is that buyers want transparency.

So how do you do that? An easy way is simply by being honest about your product. Show the buyer what it can do, how it works, and what it costs. Tell them why they need your product and how it will benefit them in the long run. If they want more details or information, they’ll ask for it — but don’t be afraid to give them everything they need up front to make an informed decision right away.

Another way to simplify things is by creating a demo video that shows exactly how your product works in real-life scenarios — and then put it online so that anyone can see it!

When you’re selling a B2B product, it can be difficult to get prospects to understand the value of what you do.  

Take time before every call to understand who you’re talking with, where they are in their buying process and what they want from your solution. Then tailor your message accordingly — if you’re talking with an executive trying to find ways to increase efficiency in his department, show how your product can help him achieve that goal. If you’re talking with an analyst who wants more information about how your product could improve his department’s processes before deciding, give him details on why your product is suitable for the job.

When potential customers ask questions about how your B2B tool works or what it can do for them, provide specific examples that demonstrate its value based on their unique needs or concerns

Make Customer Proof Work For You - Trust Gap

#2: Make Customer Proof Work For You

It’s no secret that customers are the lifeblood of any business. But when you’re looking to make a sale, it can be tricky to convince a prospect that you’re the one for the job. So many companies have turned to customer evidence: real-world examples of how their products have helped other customers.

Customer evidence gives buyers a sense of what they can expect from you and your product. It also helps them understand how your product or service has worked for others in similar situations—helping them feel more confident about investing with you.

The idea of customer proof is simple: Leverage the power of your customers’ stories to help drive your sales. But what does it mean for your business? And how can you make customer proof work for you?

Here are some tips:

  • Get started with testimonials on your website.
  • Add social proof into buyer journeys with live chat and live chat apps.
  • Make it easy for customers to share their experiences on social media by making buttons available on your site (and encouraging them!).
Practice a Customer-Centric Strategy - Trust Gap

#3: Practice a Customer-Centric Strategy

Customer satisfaction is a core part of your sales strategy.

It’s easy to think of customer service as a separate thing from sales, but the truth is that they’re just two sides of the same coin. And if you want to be successful, you need to make sure that both sides of that coin are always working together in harmony.

When it comes to customer satisfaction, two things matter most: closing the feedback loop and measuring results. When you close the feedback loop for your customers by talking to them about what they need and want, then measuring their happiness with your products and services based on those conversations, you can achieve true customer-centricity.

Treat Them As Advocates, Not Just Customers - Trust Gap

#4: Treat Them As Advocates, Not Just Customers

The sales process can be a little intimidating. It’s not always easy to find the right words, especially when trying to convince someone else that they need what you have.

Fortunately, there are some great resources to help you make the best case for your product.

For example, let’s say you’re selling a new product. What could be better than having customers talk about how much they love the effects after using this product? You could even ask them about their experience if they’ve used other products in the past. This way, you get an idea of how well this product compares with others on the market—and how much it stands out from its competitors!

It’s easy to get caught up in the thought that your customers are great, loyal people who would be happy to recommend you to their friends and family. But the reality is that most of them aren’t ready to do that on their own—they need a little nudge.

As you reshape your sales strategy in the face of the trust gap, look at ways you can actively encourage current customers to become advocates for your company. One way is by asking for testimonials from satisfied customers. In addition to making others aware of your product or service, these testimonials can also help reassure potential customers who are still on the fence about making a purchase decision.

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Account Monitoring Compelling Event Signals Sales Pipeline Sales Process Signal Intelligence Total Addressable Market

Why Should You Not Ignore Your Whitespace?

why should you not ignore your whitespace?

Many clients concentrate on delivering signal information for specific accounts. It’s incredible how many whitespace possibilities exist in neighboring businesses where you have a slight competitive edge and some expertise. As a result, it’s critical to keep an eye on your whitespace and signal intelligence because new enterprises and businesses are developing. in new geographic areas all the time, and they might provide you with untapped opportunities.

Never let an opportunity pass you by in your whitespace.

Even though professional B2B sales teams and organizations have been undertaking account management for years. the majority of them cannot adequately present critical performance measures related to their whitespace and prospective pipeline from existing accounts. Individual spreadsheets, individual brains, and so on contain the information they require. It’s tucked away in marketing campaigns, upsells, and cross-sell processes that don’t monitor interactions at the sales territory, product offerings, or line of business level.

Most sales evaluations and account summaries don’t consistently record prospective pipeline or whitespace possibilities, much alone client wants and pain points. The first step in building an approach to generate extra income in your major client accounts is to make whitespace possibilities visible and measurable.

Visualizing and identifying your whitespace

Visualizing and identifying your whitespace

Most businesses can find whitespace at three levels: marketing and advertising, development and growth of sales, and account executive possibilities.

Marketing and advertising

Any company selling for a long time is likely to have a pile of leads buried in its archives. While most people believe that old leads are worthless, they may be the fastest path to development. when the good prospects are engaged because they are connections or clients that already know something about your solutions or services.

You may create a dashboard that detects good leads and tracks how long they’ve been neglected to maintain. your finger on the pulse of this business whitespace. You should hold your marketing and sales departments accountable for their follow-ups, inquire why specific prospects are being overlooked, track trends in conversion rates, and set targets based on these data.

Development and growth of sales

Outbound and inbound sales development is the next layer to look at, which is crucial for moving upmarket. introducing account-based marketing, and other things. Outbound prospecting is similar to rifle shooting because vendors are attempting to strike extremely accurate targets. And, despite raising staffing, it may frequently give a greater return on client acquisition costs than marketing. This is due to the high level of personalization and attention that sellers may accomplish, resulting in higher response rates from better-qualified prospects.

A profiling or segment tool that allows you to classify your target audiences by critical features might be pretty valuable. When you look at each seller’s accounts in this way, you’ll see several locations that are ideal for more vigorous follow-up, and you’ll be able to explain why and how they ought to do so.

Account Executive Possibilities

Many accounts appear to be assigned to account executives for excessive time without receiving adequate attention. This is most likely to occur when an opportunity has moved to the late phases of the sales cycle and the rep has developed robust connections with champions. On the other hand, account executives focus on closing agreements rather than lighting up existing accounts to replenish the pipeline towards the mid and end of the quarter.

It’s critical to find whitespace and determine what should be allocated back to sellers and which prospects account executives should pursue more actively during the quarter. This entails pressing your account executives on their territory and encouraging them to look beyond closing sales to meet their current targets to focus on the next quarter.

How do you go about identifying opportunities in your whitespace?

How do you go about identifying opportunities in your whitespace?

Improve the services you provide to your consumers.

One of the best locations to start looking for white space is inside your present consumer offerings. Consider finding where white space may be found in your items. Consider where client needs are being satisfied and where they are not. For example, white space is when your blogging team comes upon a topic that has a lot of interest from your readers but hasn’t been written about before.

After that, you may choose how to innovate: Do you intend to publish a series of pieces on the subject, create subcategories for smaller topics, or create an ebook on the subject?

A distinct audience segment should be targeted.

If you’re having trouble coming up with new ideas for a specific audience, it might be time to adjust your emphasis. Consider reaching out to a different segment of your target market.

Assume you’re the head of an internet marketing agency firm that caters to B2B technology clients. There are enough of them out there, and yours is being lost in the mix. It’s time to look for some whitespace.

You decide to alter your client base to one that targets B2B developers instead of presenting your business as one that caters to B2B technology clients. While you’re still in the technology business, your concentration on a distinct target group helps reach out to a less saturated market.

Inquire about your consumers’ experiences with your offers.

Examine how your products and services fit into your clients’ daily routines. You could come upon some white space you weren’t aware of.

If you work for a chatbot software company, for example, conduct a poll of your clients and ask them to share their experiences. Inquire about how your services integrate into their businesses and websites.

Let’s imagine you’ve discovered that customers prefer utilizing your chatbots to nurture leads on e-commerce sites. That’s an area you overlooked during the first launch, but now that you know, your team can concentrate on creating chatbots more user-friendly for online shopping. Perhaps you could include a feature in the conversation that allows your clients to demo their items and costs.

That white space will assist you in better serving your consumers and enhancing their sales approach.

Look for areas where your organization stands apart.

Assume you’re the head of a software company. You’re trying to locate whitespace since there are so many such businesses on the market. You realized in your business plan that your product or solution is a simple, intuitive platform. That is the feature that distinguishes you from your rivals. That’s what whitespace is.

Many analytics and reporting programs are challenging to set up. Yours takes away the hassle of converting statistics into outcomes. Your organization will be the most user-friendly, allowing even a novice to succeed.

You may also utilize this finding to locate the best-qualified leads. If your company is having trouble finding whitespace, take a look at your business strategy. You could see the system you require to go back on track.

Whitespace may help your business’s branding strategy stand out. Maybe you’re having trouble figuring out where your product belongs in the market. If you can locate a place for creativity, you can utilize it to improve how others see your businesses.

Conclusion

People may have gone from your pleased, successful clients to a nearby vertical. that you’ve considered targeting or have some expertise within new verticals. So, you’ve got an ally in that company now. You may use the fact that whitespace is occurring to your advantage.

In this type of company climate, it’s vital for client service and sales teams to understand their current clients and their issues fully. Regardless, gathering and analyzing that information will pay off.

After all, a solid offense is the best defense. Account planning may be considered a proactive approach to investing in current accounts and relationships. rather than a reactive one to defend the existing client base. To unlock fresh possibilities and growth, deep understanding, a focus on consumers, and the capacity to see the whitespace are necessary.

Sales may develop an analysis around each current client, extending their sales with a deeper grasp of client goals and how the organization can help by bringing. This knowledge out of silos to be gathered and shared. This is how you may see whitespace and exploit it to create upsell and cross-sell chances.

In any sales environment, those sales executives and teams that can analyze, monitor, and communicate prospective pipelines as a performance measure are on the correct route to produce revenue growth.

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Total Addressable Market

Why Identifying Your Total Addressable Market (TAM) Carries a Lot of Weight

Why Identifying Your Total Addressable Market (TAM) Carries a Lot of Weight

When determining your company’s growth potential, the Total Addressable Market (TAM) is a valuable measure to recognize and understand.

TAM is the total demand for a product or service across all segments, substitutes or alternatives, and distribution methods. If a company was the only provider of a product or service and there were no alternatives, it represents the entire demand is accessible to them.

In Sales for Life’s SPEAR Selling Strategy, a salesperson may be accountable for their territory by visualizing the TAM. This helps businesses easily understand where gaps and opportunities exist, and they can use Signal Intelligence to select and prioritize the most attractive prospects in their total addressable market.

The seller then proceeds to planning by developing their key-account plans which are executive blueprints for their most important accounts. Sellers would then drive engagement via traditional and modern strategies.

The seller then activates customers by using the trigger Signals they’ve developed to analyze their accounts. Before going on to the reprioritize phase, where the seller would redesign their TAM based on all of the data gathered, they should evaluate the customers’ feedback, also known as purchase intent.

Why is Total Addressable Market So Important for B2B Sellers?

Investors and enterprises must understand the revenue potential of selling their product or service in a specific market. The use of TAM allows the sales and marketing teams to formulate a plan effectively, create targets, and track progress.

To put it another way, every organization must use the total addressable market to determine the value of their product or solution. You can use it to estimate the size of the market. As a result, it assists you in seeing that there is plenty of room to make revenue and expand your organization.

Understanding your TAM gives you these five main advantages:

1. It aids in getting funding and guaranteeing revenue.

Potential investors want to know your business’s potential, so all entrepreneurs should know their total addressable market before going into an investor meeting. Knowing the TAM assists investors in calculating the entire value of a business by objectively estimating market value, penetration, rivals, and timeframe.

2. It allows for financial forecasts and projections. 

Financial models and forecasts frequently use the total addressable market as a baseline. This is critical information for potential investors and current stakeholders in your business to know since it will help you prepare and budget efficiently in the short and long term.

3. It allows for more accurate employee forecasts.

You can determine headcount growth using TAM, financial predictions, and quota. As you create your benchmarks, evaluate promotions for current team members, and budget for spending, it’s critical to forecasting your potential employee demands.

4. It allows you to map out your industry region.

TAM data can also be used to disperse employees strategically across all verticals, including geography, industry, and company size. If you know a substantial amount of your TAM originates from organizations with 100 or more employees, for example, you can devote extra sales representatives to that vertical.

5. It enables you to hold the company accountable. 

To estimate growth measures, businesses should look at their total addressable market. What is the state of the company? Is your TAM increasing, and is your firm expanding to keep up with the market? In an ideal world, these should be proportional, or business growth should outpace TAM increase. If it isn’t, it’s time to rethink your strategies.

When you calculate your total addressable market correctly, you’ll have a higher chance of making a sale. This is accomplished not only by recognizing the growth potential of your product or service but also by allocating the greatest amount of resources to the market segments with the greatest potential for your company.

How to Calculate Your TAM

Calculating the TAM can be challenging, especially when many of your competitors in the industry are privately held and secretive about sales numbers. This can be calculated in one of these three ways:

1.Value theory, which predicts how the price of your offering will influence buyer behavior.

The value theory approach of determining the TAM is based on a lot more speculation and assumption. Thus the results are a little murkier but still relevant.

Calculate your total addressable market using value theory by estimating your product’s value to specific consumers and determining if you can adequately acquire that value through pricing.

2. Top-down approach, which uses industry research to predict the size of the TAM

Top-down TAM assessments are frequently based on previous data from market research firms. However, to draw precise conclusions about specific markets, the larger research conducted by these companies often needs to be complemented or modified by further evaluations, such as phone or email surveys conducted by third-party consultants.

3. Bottom-up approach, which utilizes data and information from your company’s early sales

The bottom-up TAM approach will offer you more accurate data, in part because it allows you to include any significant elements from the start, such as total addressable market expansion due to your entry into the market.

You arrive at this figure by extrapolating from your current pricing and use statistics. Take that figure and multiply it by the size of your target market’s consumer base.

You can determine your target market by researching the types of clients you believe will purchase your product.

5 Things You Need to Ask Yourself 

We discussed how a company might oversimplify its TAM calculation and arrive at the incorrect result. It takes a little more effort than a few phrases to get an accurate picture of your total addressable market size. Let’s look at five questions to ask yourself to guarantee that the figures you come up with are as precise as possible.

1. Who is your target market?

It’s not often that your product’s target market comprises everyone. Case in point: Even though all organizations need IT services (or whatever product you’re offering), to be successful, you need to narrow down your TAM more precisely. The only way to acquire an accurate estimate of how much that market is worth is to know exactly who will buy your product.

Remember that your TAM will be greater than your target market. Your prospect account’s organizational size and budget need to be considered, for instance. This means that they’re not in the target market, but they’re in the TAM.

2. What industries are you able to sell to?

If you have a B2B product, failing to account for all of the industries that might be interested in your offering will result in a significant underestimation of your TAM. Often, a product is created with a single sector in mind, and the makers seldom consider how much broader the appeal could be. This has a negative impact on total addressable market calculations as well as business.

3. What is the current state of competition?

This is significant for several reasons. Your total addressable market is based on the assumption that you have a monopoly. Hence it isn’t included in the calculations. Identifying who else is in the neighborhood, on the other hand, will assist you in gathering data for the computations if necessary. It’ll also help you understand how to read the TAM. 

4. What are your different types of customers?

The size of the market isn’t the end of market research. You’ll also want to know who will be buying your product. What is the maximum amount they are willing to pay? What factors influence such willingness? Taking a close look at your buyer personas can provide you with a wealth of information to expand your business in these days of big data.

Depending on the formula you choose, knowing what value your target consumers place on the types of items and services you’ll be delivering can be crucial for evaluating TAM.

5. What does market growth look like over the long term?

Market growth refers to an increase in demand for a product or service on the market. It’s critical to spend some time evaluating the growth prospects of your market. Even if you can’t forecast the future, you can utilize growth trends to get a sense of where your TAM is going. Year-over-year industry sales, number of customers, and kind and size of purchases per client are some indicators you can analyze to assess your market’s growth.

Conclusion

Identifying your company’s TAM is the initial step in determining market revenue prospects. It also has ancillary benefits, such as:

  • Defining your product’s evolution and roadmap
  • Evaluating a product’s market fit
  • Attracting potential investors
  • Keeping you updated with your competitors

Your sales and marketing teams have a significant impact on the growth of target accounts. Accurately defining the TAM boosts your sales opportunities, but it will also allow these teams to work together to produce income.

Here at PipelineSignals, we don’t just monitor your existing and target accounts for sales opportunities and identify risk. We also map out your Total Addressable Market, making sure you’re not missing out on any opportunities for sales and pipeline creation and growth.

Categories
Compelling Event Signals Customer Churn Total Addressable Market

Global Command Center for Signal Intelligence: What They Are and Why You Need Them

Global Command Center for Signal Intelligence: What They Are and Why You Need Them

The wealth of data and information in the digital age has allowed companies and businesses to piece together a clear image of a prospective client by combining data from different Signal intelligence sources.

Filters based on keywords and job titles are particularly effective for locating ideal prospects on professional sites such as LinkedIn, among others. You can explore ways to communicate with your intended audience directly or through a LinkedIn relationship once you’ve defined your target audience. LinkedIn Groups are also an excellent location to strike up a casual discussion with a prospect.

On the other hand, company websites and pages, newswires, and social media pages for your accounts all provide parts to the consumer puzzle. You can go back several months to see if there are any modest purchasing indications flowing through their public messages.

There are other types of data have a significant impact on your pipeline development and can provide valuable information to a knowledgeable seller. These are Signals, and they’ve helped several companies improve their sales funnels.

If these trigger signals are tracked, your revenue team will be able to spend more time on activities that are more likely to result in a won contract.

Signals can be used to keep track of what’s going on with your existing customers. They give you more than just intelligence; they also let you keep track of what’s going on in your accounts, so you’re constantly ready for potential sales opportunities.

Salespeople can track a variety of signals to prioritize their efforts and enhance their B2B sales strategy.

These are time signals, which allow your sales staff to plan and develop sales strategies; relationship signals, which will enable you to identify the right people who can change your market, giving you more and better chances of closing business; competitive signals, which help you keep track of your competitors’ presence and influence on your target or customer accounts; and buying intent signals, which allow you to detect whether or not a prospect is interested in purchasing a product right now or in the near future.

These signals can indicate a prospect’s interest in your products, allowing you to design a strategy to encourage them to buy. When you notice a lead doing one of these behaviors, you should be prepared with a plan to get things moving.

Roadblocks to Making the Most of Signals

But why do you need a command center to monitor compelling events signals when your sales team already has LinkedIn to monitor their accounts and contacts?

Imagine. Three different sellers, each with LinkedIn Sales Navigator accounts. They see their total addressable market (TAM), and they’re unconcerned about what’s going on globally.

Seller ASeller BSeller C
Detects a competition that has a connection to one of your clientsSees that one of the key stakeholders from a happy customer has left and has moved to a different location or market to start a new business.Notices that a new C-level executive has been promoted or has taken a new position at a different firm.

In a tool like LinkedIn, none of these merchants are linked together.
What they aren’t seeing are the relationship maps that exist between each of your customers and prospects. They aren’t keeping track of all competition intelligence throughout your entire consumer base. There’s a weakness in the armor if one seller misses a single signal.

The truth is that an unpredictably large pipeline means unpredictably large income. It’s easy to see why pipeline generation is a crucial concern for revenue leaders, given that only around half of sellers meet their quota. However, there are factors of risk in sales-generated pipelines that are usually unknown or neglected.

To be successful, sellers must have various contacts on their accounts. Even though buying committees have 5 to 8 stakeholder interactions, 91% of sellers only have one important contact per account. This indicates that the merchant does not know enough people in the account. If they knew them, they would have already approached them.

Most B2B salespeople work for 30 to 36 months on average. The people in charge of your money aren’t going to be with you indefinitely. This puts a lot of money on the line.

You need actionable intelligence on where to focus your time and efforts to build a sales funnel at scale. Signals are used to convey intelligence. Signals show how your clients and prospects are changing and can be used to engage accounts confidently.

However, there are three hurdles to overcome when converting signals to pipelines:

  1. You don’t have the resources to monitor hundreds, if not thousands, of customer and target accounts using a Signal Intelligence System.
  2. You lack a prescriptive and standardized sales prospecting process that aids in the conversion of signals into pipelines.
  3. You lack the leadership and expertise needed to keep the process going in the long run.

These difficulties result in poor account selection, prioritizing, and segmentation, as your sellers waste time on accounts with little to no sales potential.

This is where the necessity for a signal intelligence command center arises.

A Need for a Global Command Center for Signal Intelligence

All of the preceding leads to the next point:

To make the most of trigger signals and other information, every company needs to have a command center that monitors the data, signals, and behavior of millions of organizations, delivering intelligence to other companies and businesses.

By having a central hub that continuously analyzes every single account in your Total Addressable Market (TAM) for Compelling Event Signals, you will be able to take action when an account is at risk for churn, ready for upsell/cross-sell, and when to pursue a target account.

Many B2B salespeople and marketers have long recognized the huge potential advantage of sales intelligence, but adoption has been hampered by ease-of-use issues. This is remedied by a global command center for signal intelligence, which delivers usable, actionable signals to enterprises directly.

Too often, opportunities for network expansion, pipeline growth, and profit pass by without an organization knowing it. More precisely, without the sales teams knowing it. This happens because of many things, and one of the biggest reasons is the lack of a centralized place to check and monitor when such signals take place.

Every time a company merges with another company, is acquired by another entity, or decides to take on a totally different direction (versus what you knew in the past), many sales opportunities are lost. Or the opposite happens – risks, that could’ve been mitigated early on, are not avoided.

The same applies to signals that are dependent on relationships built with existing accounts. Someone could’ve been promoted, joined a new account, or left an account. The bridges you built with that same person can open up new opportunities in their new company, position, or role.

Such information from a global command center for compelling events signals can be used to plan and optimize display both sales and marketing campaigns because it is industry-wide. When your team reaches out to either current accounts or prospects, they may customize their messaging. The same applies to your marketing team’s calls to action through adverts.

Conclusion

It’s vital to gather, analyze, and interpret data and signals at scale because missing a single opportunity or risk could mean the difference between a seller meeting their quota or a market meeting its objectives. As a result, we strongly advise you to consider having a global command center to oversee everything.

Pipeline Signals was founded to help companies grow their sales pipeline at scale through Relationship Signals.
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